Lack of specific skills and talents one of the four top obstacles to digital transformation in companies: Survey

22nd January 2021 (Last Updated January 22nd, 2021 10:42)

Digital transformation has become the need of the hour due to the COVID-19 pandemic. While some organisations adapted to it successfully, some are facing obstacles in the transition.

Digital transformation has become the need of the hour due to the COVID-19 pandemic. While some organisations adapted to it successfully, some are facing obstacles in the transition.

GlobalData has conducted a survey on how the top two obstacles among lack of specific skills and talents, organisation silos, insufficient funding and legacy systems impacted companies based across North America, Europe, and Asia Pacific.

Digital transformation - Obstacles to digital transformation across geograhies and business sizes

A Closer Look at Lack of Specific Skills and Talents, and Organisational Silos

As companies are competing for limited talent pool, the gap between supply and demand of tech-savvy employees is widening across all sectors making digital transformation tougher.

Lack of specific skills and talents are expected to affect more companies located in Asia Pacific (64%) than those in Europe (46%) and North America (41%).

Lack of specific skills and talents affected companies with higher revenue range compared to those earning lesser. While 54% of the companies are in revenue range exceeding $1bn revenue, a lesser 47% of the companies are $100m-$1bn companies, and 44% of the companies are those earning less than $100m in revenue a year.

Organisation silos impacted digital transformation of 46% of the companies based in North America, followed by 39% in Europe and 36% in Asia Pacific.

Further, impact of organisation silos was higher in companies earning more than $1bn revenue, compared to those earning between $100m and $1bn (37%) and less than $100m (31%).

Lack of resource integration, complex organisational structures, lack of co-operation within teams, and inadequate means of communication are the possible causes of the obstacle.

The analysis is based on the Digital Transformation and Emerging Technology in the Healthcare Industry, 2020 survey conducted by GlobalData between 17 September and 06 October 2020.